SOUTH KOREA/UK - The US private equity owner of Gatwick airport has confirmed that it will sell a 12% stake to South Korea's state pension fund.
It is believed that the deal will net Global Infrastructure Partners (GIP) a little less than £100m (US$160m).
The sale of the holding to South Korea's National Pension Service (NPS) is part of a process announced after GIP completed its £1.51bn purchase of Gatwick from BAA last October to sell minority stakes to a small number of investors, the firm said in a statement.
The investment reflects National Pension Service's desire to increase its exposure to international property, equities and commodities and reduce its large holding in domestic fixed-income investments.
It is the plan's second major property investment in the UK, agreeing to buy HSBC Holdings' London headquarters for £772.5m (US$1.3bn) in cash last November. (Global Pensions; November 16, 2009)
Last month, it bought an office building in Sydney for A$685m (then US$626m) to tap into Australia's rapidly rebounding economy. (Global Pensions; January 6, 2010) The deal was the largest in Australia's property market since December 2007.
GIP said it was pleased to have "one of the world's largest investors" as a partner but will retain the "controlling stake" in the UK's second busiest airport.
The Pensions Regulator (TPR) has set out plans to use "new regulatory initiatives" with over 1,000 schemes as it aims to tighten its regulatory grip and boost member outcomes.
HM Revenue and Customs (HMRC) has announced it is delaying the provision of data that will enable pension schemes to confirm the guaranteed minimum pension (GMP) benefits to pay to members until the end of the year.
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